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FINANCIAL NEWS
Iraq issues tenders for building 4 power plants
19 Dec 2010
(MENAFN) The Iraqi Oil Minister and interim Electricity Minister, Ali Al Shahristani, said that the Electricity Ministry launched tenders for building power stations that would boost Iraq’s power production by 50 percent, reported Gulf Daily News.
The minister said that this comes in response to the demonstrations all over Iraq against power shortages. He also said that locations were selected based on the availability of water, gas or oil sources in the nearby area.
The Iraqi minister also said that equipment bought in 2008 from General Electric would be used in these four projects. The four stations will include a 1,250 megawatts station near Basra, and a 500MW station in each of Samawa, Amara and Diwaniyah. Firms who do get the tender are expected to get the stations up and running in between 18 and 24 months.
Twenty-two companies showed interest in the projects. The minister made it clear that the number one criteria for selecting the winning firm would be the price per kilowatt hour that the firm would sell at. Other criteria include technical expertise and financial plans.
It is worth noting that Iraq’s current electricity shortage is between 8,000MW and 7,000MW.
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